Xeneta analyst insight
Peter Sand, Xeneta Chief Analyst:
“The further 90-day extension of current tariff levels between US and China will not have a significant impact on shippers and we should not expect another cargo rush, as we saw immediately following the initial lowering of tariffs mid-May.
“Shippers have already embraced the first 90-day window of opportunity to frontload goods – there is no longer a pent-up demand to get goods into the US, so spot rates are expected to decline further in the coming weeks as capacity also increases.
“The massive challenge facing carriers is not restricted to the US-bound fronthauls, with offered capacity also increasing from Far East to North Europe and Mediterranean in the coming weeks, potentially putting further downward pressure on spot rates here too.”
Source: XENETA
